Feed in Tariff Fast Track Review Published

Regen SW Briefing

Government released the conclusion of the Fast Track Review of the Feed in Tariff on 9 June 2011 - see www.decc.gov.uk for details.

The key points of the Review are set out below.

  • DECC claim that budgetary constraints have left them with little option but to reduce the tariffs for new 50kW+ PV projects from the 1st August 2011, with no transitional arrangements for anyone with sunk investment. The new tariff levels are:

Band (kW Total Installed Capacity - TIC) ............................. Tariff (p/ kWh)
>50 kW - 150 kW TIC ............................................................... 19.0p/ kWh
>150 kW - 250 kW TIC ............................................................. 15.0p/ kWh
>250 kW - 5 MW TIC and stand-alone installations ...................... 8.5p/ kWh

Very little has changed as a result of the consultation.

  • Government remains adamant that the intended beneficiaries of the FiT should be individuals, householders, organisations, businesses and communities, but apart from preventing large scale solar developments, have done little to demonstrate this. The changes to the PV tariff will not affect individual consumers installations, but larger community scale schemes are unlikely to go ahead now with the current level of support offered by the FiT.

 

  • Regen SW does, however, welcome the Coalition's intention to increase Anaerobic Digestion tariffs as proposed in the consultation to:

Band ( kW TIC) ..................................................... Generation Tariff (p/ kWh)
250 kW ......................................................................................... 14.0p/ kWh
>250 kW - 500 kW ........................................................................ 13.0p/ kWh

  • The Government has confirmed that they will not act retrospectively and any changes to generation tariffs will only affect new entrants into the FITs scheme. Installations which are already accredited for FITs at the time the changes come into force will not be affected. There is a little more clarification as to what 'accredited' actually means, however, there is still significant room for confusion.

Regen SW organised a meeting for our members with Hugh McNeal, Head of Onshore Renewables at DECC following the publication of the Fast-track review in June 2011.

The table of current tariffs is available from the Ofgem website.   


 

 

09-June-2011